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Article
Publication date: 26 September 2008

Merwan Engineer, Ian King and Nilanjana Roy

The human development index (HDI) and gender‐related development index (GDI) have become accepted as leading measures for ranking human well being in different countries. The…

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Abstract

Purpose

The human development index (HDI) and gender‐related development index (GDI) have become accepted as leading measures for ranking human well being in different countries. The purpose of this paper is to identify the planning policies that improve these indices and to also suggest modifications to the indices that yield more sensible policies.Design/methodology/approach – This paper solves the first‐best welfare problem in which the planner maximizes a development index subject to resource constraints.Findings – Planning strategies that maximize the HDI tend towards minimizing consumption and maximizing expenditures on education and health. Interestingly, such strategies also tend towards equitable allocations, even though inequality aversion is not modelled in the HDI. The paper shows that the GDI generates optimal plans with similar properties, and determine when the GDI and HDI generate consistent optimal plans. A problematic feature of the optimal plans is that the income component in the HDI (or GDI) does not play its intended role of securing resources for a decent standard of living. Rather, it acts to distort the allocation between health and education expenditure. The paper argues that it is better to drop income from the index. Alternatively, the paper considers net income, income net of education and health expenditures, as indicating capabilities not already reflected in the index. Finally, it compares how the modified indices and the HDI rank countries.Originality/value – The paper is believed to be the first to integrate development indices into national development planning.

Details

Indian Growth and Development Review, vol. 1 no. 2
Type: Research Article
ISSN: 1753-8254

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Article
Publication date: 1 November 2004

Humayon A. Dar

It is widely recognised that the human development index (HDI) does not totally capture the rich content of the human development concept, necessitating a more adequate measure of…

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Abstract

It is widely recognised that the human development index (HDI) does not totally capture the rich content of the human development concept, necessitating a more adequate measure of human development. This paper introduces an ethics‐augmented human development index (E‐HDI) as a new indicator of socio‐economic change and development. The E‐HDI incorporates freedom, faith, environmental concerns and the institution of family in the HDI and ranks countries of the world accordingly. It is envisaged to be of practical use in national policy making and may also be related to agenda of the bilateral and international development agencies. Just as the HDI has managed to shift discussions beyond gross national product, the E‐HDI is expected to inject ethical concerns more explicitly into policy making in the contexts in which the human development reports are used.

Details

International Journal of Social Economics, vol. 31 no. 11/12
Type: Research Article
ISSN: 0306-8293

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Article
Publication date: 28 October 2013

Sharmila Gamlath

– The research aims to include good governance as a facet in the measurement of human development.

Abstract

Purpose

The research aims to include good governance as a facet in the measurement of human development.

Design/methodology/approach

A modified Human Development Index (MHDI) was computed by including a governance dimension computed using the six governance indicators published by the World Bank. The rankings using the new index were obtained and compared to the rankings of the United Nations Development Programme's (UNDP's) HDI.

Findings

The rank correlation of the original and modified indices was very high, but there were many big rank changes for individual countries in each HDI group. These rank changes could be largely reconciled in the light of the rankings of these countries in the Corruption Perceptions Index and the Democracy Index.

Research limitations/implications

The research considers the measurement of human development at a point in time alone and incorporates 2010 governance indicators into the 2011 HDI, which could lead to a discrepancy in time periods considered. Furthermore, the governance indicators are measures of perceptions which can be subjective. The Practical implications paper does not delve into the country-specific factors that may have caused big rank changes.

Practical implications

The paper builds a case for incorporating, or at least providing the option of including a governance dimension in the HDI.

Originality/value

The paper is a novel attempt to incorporate good governance as a dimension in the HDI. It reasserts the need for policy-makers and governments to realize that peoples' capabilities cannot be realized in the absence of good governance, and that whilst improving other facets of human development, much attention needs to be paid towards establishing good governance.

Details

Humanomics, vol. 29 no. 4
Type: Research Article
ISSN: 0828-8666

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Article
Publication date: 13 September 2021

Wahyu Jatmiko and A. Azizon

Previous studies have challenged the Human Development Index’s (HDI) ability to emulate the achievement of falāh (happiness). This paper aims to evaluate the role of religious…

Abstract

Purpose

Previous studies have challenged the Human Development Index’s (HDI) ability to emulate the achievement of falāh (happiness). This paper aims to evaluate the role of religious values in establishing a positive link between the current measurement of development and falāh.

Design/methodology/approach

First, this study derives an improved value-loaded development measure from the concept of Maqasid al-Shari’ah (the higher objectives of Islamic law). Second, this paper compares the calculated Maqasid al-Shari’ah Index (MSI) with the HDI of some Organisation of Islamic Cooperation (OIC) countries by using the parametric pair difference z-test and t-test along with the non-parametric Wilcoxon signed-rank test. Finally, the relationship of both indices and the proxy of falāh are examined by using the ordinary least square and the generalised method of moments estimations.

Findings

As far as the religious-led development is concerned, the HDI underestimates OIC countries’ development progress. Here, the MSI can better embody the attainment of falāh than the HDI.

Research limitations/implications

This study only covers limited OIC countries due to the data availability issue.

Practical implications

The cultural-based development stemming from the religious values proves useful for putting the government effort towards the attainment of the objective of human well-being in the right direction.

Originality/value

To the best of the authors’ knowledge, this is the first study examining the empirical relationship between the MSI and falāh.

Details

Journal of Islamic Accounting and Business Research, vol. 13 no. 1
Type: Research Article
ISSN: 1759-0817

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Article
Publication date: 25 September 2009

Rati Ram

The purpose of this paper is to extend the existing literature on cross‐country disparities by providing measures of cross‐country inequality in human development index (HDI) and…

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Abstract

Purpose

The purpose of this paper is to extend the existing literature on cross‐country disparities by providing measures of cross‐country inequality in human development index (HDI) and real income per capita over the 30‐year period 1975‐2004.

Design/methodology/approach

A well‐recommended inequality index is applied to the data.

Findings

Ten points are noted: first, HDI inequality declined over the period; second, the pace of decline slowed somewhat since 1990; third, magnitude of HDI inequality has been quite small; fourth, inequality in gross domestic product per capita also shows a declining pattern over the period; fifth, there is very high correlation between HDI and per capita income; sixth, despite the high correlation, magnitudes of inequalities in the two variables are dramatically different; seventh, therefore, even very high correlation may not be interpreted as implying similar inequalities in the variables; eighth, cross‐country inequalities in various regions show huge differences; ninth, negative trend in inequalities over the period shows high statistical significance; and tenth, t‐tests for equality of means do not pick up well even huge differences in regional inequalities, suggesting need for considerable caution in the use of such tests.

Originality/value

The primary scientific significance of the work lies in providing the measures of cross‐country inequality in HDI over the 30‐year period; showing dramatically different inequalities in HDI and income despite very high correlation between the two variables; and indicating cross‐country inequalities in eight different regional groups and also across regions.

Details

Journal of Economic Studies, vol. 36 no. 5
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 26 August 2020

Nagendra Kumar Maurya and Karuna Shanker Kanaujiya

The present research has been conceptualized to make an inter-district analysis in terms of IHDI of Uttar Pradesh. It aims to provide district-wise estimates of HDI and IHDI with…

Abstract

Purpose

The present research has been conceptualized to make an inter-district analysis in terms of IHDI of Uttar Pradesh. It aims to provide district-wise estimates of HDI and IHDI with the latest available data, which may prove to be a critical policy input to the policy makers that how different districts are performing in terms of education, health and standard of living parameters and help in implementing tailor made policy actions.

Design/methodology/approach

The paper utilizes the Census of India data and unit-level data of National Sample Survey (NSS) for constructing HDI and IHDI. The broad framework for computing IHDI in this study is similar to the approach of UNDP's HDR 2010. To adjust the inequality aspect, the Atkinson inequality aversion parameter has been estimated at indicator level on the basis of NSS unit record data.

Findings

The study reveals that inequality discounted income index is on an average 30 percent lower than unadjusted income index. However, quite high variation exists in case of education and health. The difference ranges from 30 percent to 40 percent in the case of education and from 3 to 36 percent in the health dimension. The surprising fact which study finds that health infrastructure and education infrastructure are poorly correlated with their respective outcomes.

Research limitations/implications

The study offers a policy suggestion that increasing investment on educational and health infrastructure will not have any significant impact on their respective outcomes unless distributional inequalities are reduced. The study also suggests that rising income inequalities are threat to inclusive growth and sustainable development goals agenda. Thus, it recommends policy makers to take pro-active timely policy measures to reduce income inequalities. The educational achievement should be fixed in terms of average years of schooling and expected years of schooling rather than in terms of literacy rate.

Originality/value

The present research is an original work. This is the first study in the case of Uttar Pradesh which attempted to estimate district-wise IHDI following the internationally accepted UNDP (2010) methodology.

Details

International Journal of Sociology and Social Policy, vol. 41 no. 7/8
Type: Research Article
ISSN: 0144-333X

Keywords

Article
Publication date: 4 December 2017

Necati Aydin

Given the fact that the Islamic economic paradigm differs from the secular capitalist paradigm in terms of its emphasis on morality and spirituality, the author thinks that the…

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Abstract

Purpose

Given the fact that the Islamic economic paradigm differs from the secular capitalist paradigm in terms of its emphasis on morality and spirituality, the author thinks that the current Human Development Index (HDI) does not capture human development from an Islamic perspective. The purpose of this paper is twofold: first, to provide a paradigmatic, theoretical, and conceptual model for the suggested Islamic HDI (iHDI) and second, to present several proxy variables for multi-dimensional iHDI and test the proposed index through empirical data for ten Muslim countries.

Design/methodology/approach

The author developed eight-dimensional composite iHDIs based on the understanding of human nature from the Tawhidi anthropology. These dimensions included physical, reasoning, spiritual, ethical, animal, social, deciding, and oppressive selves. The author measured them using nine different indices, three of which came from the conventional HDI (cHDI). The author then compared the rankings of those Muslim countries in iHDI to those in cHDI.

Findings

The iHDI rankings for all Muslim countries except two differed from those in cHDI. The difference was more substantial for countries with higher economic development. Thus, improved cHDI rankings for Muslim countries based on their economic development do not necessarily mean that they move toward ideal human development. This finding confirms the need for an alternative human development indexing approach from an Islamic perspective.

Research limitations/implications

The paper is likely to initiate movement to develop an alternative HDI from Islamic perspective.

Practical implications

The paper findings have important policy implications for Muslim countries.

Originality/value

It is the first empirical paper showing how to develop an alternative HDI from an Islamic perspective.

Details

International Journal of Social Economics, vol. 44 no. 12
Type: Research Article
ISSN: 0306-8293

Keywords

Book part
Publication date: 8 November 2019

Nina Bohdan and Veronika Garkavaya

This chapter discusses the positioning of Belarus in the international context of socioeconomic development based on an assessment of the country's dynamics in world rankings. The…

Abstract

This chapter discusses the positioning of Belarus in the international context of socioeconomic development based on an assessment of the country's dynamics in world rankings. The country's presence in the recognized world rankings and its holding high positions in them is an obvious advantage for achieving a favorable investment image. Ratings characterize the country's comparative position at the international level in a number of areas: from credit capacity to human capital development.

There has been analyzed the position of the Republic of Belarus in several recognized international comparisons, such as Human Development Index, Doing Business, ICT Development Index, Global Innovation Index, Sustainable Development Goals Index, Corruption Perceptions Index, Rule of Law Index, Worldwide Governance Indicators, and others.

However, Belarus is not yet participating in the international competitiveness assessment through such popular international ratings as Global Competitiveness Index and Global Entrepreneurship Monitor. The research findings show that the strongest aspects of the socioeconomic development of Belarus are in place due to the high educational level of the human capital development, gender equality, and the implementation of the UN sustainable development goals. The analysis also shows that the weaknesses of institutional environment and public administration do not enable the full implementation of the planned goals of socioeconomic development.

Details

Modeling Economic Growth in Contemporary Belarus
Type: Book
ISBN: 978-1-83867-695-7

Keywords

Article
Publication date: 10 June 2021

Abdul Hamid Habbe

The purpose of this paper is to test the effects of the financial performance of local governments to the level of welfare in 25 city/regency in South Sulawesi during 2009–2014.

Abstract

Purpose

The purpose of this paper is to test the effects of the financial performance of local governments to the level of welfare in 25 city/regency in South Sulawesi during 2009–2014.

Design/methodology/approach

The financial performance is measured by the rate of local autonomy, the effectiveness of local own-source revenue, budget harmony and budget absorption, while the welfare society measured by the Human Development Index (HDI), unemployment and poverty level.

Findings

The regression analysis showed that the performance of region autonomy proved to increase the HDI over the next year and to reduce the poverty rate in two and three years ahead, however, has no correlation with the unemployment. The effectiveness of local own-source revenue can lower unemployment at two and three years ahead but failed to increase the HDI and to reduce poverty. Harmony of spending also neglected to raise the HDI and to reduce the level of unemployment although it can alleviate poverty. The level of budget absorption can improve HDI and reduce the unemployment at two and three years ahead, but failed to lower poverty. Expenditure harmony and budget absorption failed to moderate the relationship between local autonomy, the effectiveness of local own-source revenue and all measurement of welfare, while the expenditure harmony able to moderate the relationship between the effectiveness of local own-source revenue and HDI.

Originality/value

To the best of authors’ knowledge, no previous study has comprehensively studied the effects of level of regionality autonomy and effectivity of local own-source revenue to public welfare, and the moderation effect of Expenditure harmony, budget absorption in relationship between financial performance of local government to public welfare, especially in Indonesia.

Details

International Journal of Law and Management, vol. 63 no. 5
Type: Research Article
ISSN: 1754-243X

Keywords

Article
Publication date: 1 September 2000

Carl A. Rodrigues and Harvey Blumberg

Do feminine cultures really behave more feminine than masculine cultures?. A comparison of 48 countries femininity‐masculineity ranking to their UN human development rankings…

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Abstract

Do feminine cultures really behave more feminine than masculine cultures?. A comparison of 48 countries femininity‐masculineity ranking to their UN human development rankings. Reveals that feminine cultures do apply greater intensity in investing in human development programmes, including care for the weak and gender equity development than masculine cultures. States that both score low on empowerment of females, suggesting that a countrys power distance measurement affects this. Implies that managers of international firms will find greater demand for improved quality of work and female empowerment programmes in feminine/small power distance countries than feminine high power distance countries and masculine countries. Qualifies comparisons by outlining problems within the UN statistical data.

Details

Cross Cultural Management: An International Journal, vol. 7 no. 3
Type: Research Article
ISSN: 1352-7606

Keywords

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